Connected wearable products developer Misfit has agreed to be acquired by Fossil Group (NASDAQ: FOSL). The acquisition will enable Fossil to expand its market to offer customers both traditional time pieces and fashionable connected devices. Expected to close before the end of fiscal 2015, the deal is valued at $260 million, including transaction costs, and will be funded through a combination of cash on hand and bank debt. Misfit had raised roughly $63 million in funding from investors including Horizons Ventures, Khosla Ventures and Norwest Venture Partners. Its most recent funding of $40 million in late 2014 generated a valuation of $219 million.